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Student LoansPrometey Bank provides student loans for tuition payment.
Student loans are available for undergraduate and graduate students of state universities, as well as universities with accreditation.
TERMS OF LENDING
Loan maturity period
Study period plus 6 years, but not more than 10 years.
Loan principal amount
• Maximum AMD 2,800,000 during the whole study period maximum with 4 incessant portions (a portion for each study year), moreover the amount for each portion cannot exceed AMD 700,000 or tuition for one study year.
• Years of compulsory military service in Armed Forces of Ministry of Defence of RA are not considered as a study interruption.
Loan currency and disbursement form
Loans are disbursed only in AMD and only in non-cash form by transferring the loan amount to the respective institution.
Interest rate of lending
9% annually, from which:
• 2 interest points for all beneficiaries,
• 3 interest points՝ for the students with excellent progress will be subsidized by the state.
Security means of the loan
Guaranty of at least 2 (two) physical entities, one of which must compulsorily be student’s one of the parents, and the second one - any third person.
Loan disbursement/ service fees
No loan disbursement and service fees are charged.
Terms of informing the customer about the decison on the loan disbursement, the loan disbursement and decision on the loan application
• Decision on the loan approval or denial is made by the authorized body of the Bank during 3 (three) working days after the submission of the documents needed (required) for the loan to the Bank. Loan disbursement is made during 2 (two) banking days.
• The results of the decision of the Bank on the loan application (positive or the reasons of application denial) are reported to the Customer during 2 (two) banking days orally or in a written form as well, at the customer's will.
Borrower or guarantors must not have non-working obligations at the moment of the loan disbursement.
Criteria of the loan disbursement approval or denial
Criteria of the decision on the loan disbursement approval:
- The availability of the collateral and guaranties accepted by the Bank,
- the availability of permanent residence,
- the availability of stable source of income,
- positive or neutral loan history,
- the availability of the authentic and valuable documents.
Criteria of the decision on the loan disbursement denial:
- submission of inauthentic documents,
- negative loan history,
- risk rating of the source of income /unstable incomes, incomes with imprecise periodicity, etc,
- non submission of the documents required for signing the pledge contract or guaranty agreement.
Repayments of the loan and interests
- Loan repayments are implemented according to the schedule under the loan agreement, monthly repayments are done in annuity form, moreover, only interests are paid during the study period (maximum 4 years), and after the graduation the equal payments of the loan principal amount and interests are made.
- All the calculations on the interest amount line are made on daily basis for a 365-day year. In case the payment day appears to be a non-working day, payment is made during the next working day.
- No fines are paid to the Bank in case of the repayment of the loan earlier than the deadline stated in the loan agreement.
WARNING to borrowers
In case of delinquent liabilities with regard to the loan principal and interests the information about the borrower will be recorded in the credit register.
Documents required for the lending
- Student loan application (according to the form stated by the Bank),
- reference from the University, in which the following must be stated:
- student’s faculty, course and tuition (outstanding amount of this student year), bank account of the University, student's last year and month of study,
- in case of the excellent study, there must also be a notice on the student's excellency on this year.
- passport, social or ID card (if available),
- reference on the incomes (in case the student parallely works and has official income source/es which satisfies the creditworthiness criteria of the Bank,
- information on other incomes (if available),
- information on the guarantors,
- documents on the guarantors' incomes,
- other documents may be required, in case of need.
ATTENTION - Loan interests are calculated based on NOMINAL INTEREST RATES. ANNUAL PERCENTAGE RATE shows how much the loan will cost for you, if interests and other payments are paid in predetermined time period and in predetermined size. Procedure on calculation of annual percentage rate (Regulation 8/01) could be found by following website address: www.cba.am.